One of the chief differences between the Covenant of Works and the Covenant of Grace is that in the Covenant of Grace, God makes a covenant with sinners. The Covenant of Works was made between God and pre-fall humanity. Thus, once the fall occurred, humanity’s only hope was in the graciousness of God.
Though the Covenant of Grace is different from the Covenant of Works, it cannot be totally separated from it. It is important to note that one aspect of the Covenant of Works still remains intact. That is, God still executes judgment on sinners and lawbreakers. Therefore, the second covenant is an addition to the first.
The Covenant of Works has also been dubbed the Covenant of Creation. This designation is meant to make clear the fact that the first covenant was not restricted to Adam and Eve. It emphasizes the fact that the first covenant was made with both Adam and Eve and their offspring. Therefore all of humanity is included in this covenant. The entire human race, whether we like it or not, is under the sanctions and stipulations of the first covenant. This should make us realize our desperate need for grace.
Another interesting fact showing the cohesiveness between the covenants is that though the way of salvation is progressively revealed in the Covenant of Grace, it is made known in the Covenant of Works. In this manner, the way of salvation is still tied to the first covenant. This means that the Covenant of Grace does not annul the first covenant, but rather makes it possible for the Covenant of Works to be fulfilled. In fact, it is through the doctrine of justification by faith that the fulfillment of the Covenant of Works is accomplished. This is because Christ, the second Adam, by His perfect obedience, fulfills the requirements of the Covenant of Works. What sets the Covenant of Grace apart from the Covenant of Works is the issue of vicarious obedience and atonement. Christ does for us what we are incapable of doing for ourselves. Where we have failed, He has succeeded. Christ’s obedience is accepted as a substitute for our obedience. This is what makes the Covenant of Grace so gracious.
This Covenant of Grace is manifested in the specific covenants that God made with Noah, Abraham, Moses, and David, yet have their culmination and fulfillment in Christ. The Westminster Confession again states that
This covenant was differently administered in the time of the law, and in the time of the gospel: under the law it was administered by promises, prophecies, sacrifices,circumcision, the paschal lamb, and other types and ordinances delivered to the people of the Jews, all foresignifying Christ to come; which were , for that time, sufficient and efficacious, through the operation of the Spirit, to instruct and build up the elect in faith in the promised Messiah, by whom they had full remission of sins, and eternal salvation; and is called the old Testament.
…There are not therefore two covenant of grace, differing in substance, but one and the same, under various dispensations (7:5-6).
The implications of what we have been discussing these last two post is staggering. What we see is that from the Old Testament to the New, God's interaction, dealings, and redemption of his people is all dependent on grace. it was solely out of his good pleasure that he entered into a covenant relationship with people to give them what they do not deserve. More astounding is the fact that by making a covenant, God has bound himself to fulfill his promises, which are based solely on and in himself.
In the next post, we are going to look at another aspect of God's grace, which is usually referred to as "common grace." As we will see, this distinction is important. As we have just discussed, there is a covenantal grace that God gives to his people that is very different from the grace that he gives to those outside the covenant. This is important because all of the other aspects of grace that we will look at during this series fall under the category of God's covenantal grace.